Blended museum and hotel label 21c Museum Hotels will become the newest addition to the AccorHotels brand family after the French juggernaut agreed to acquire an 85% stake at a price of US$51 million (AU$68.8 million).
On completion of the stake purchase, the 21c Museum Hotels name will join the MGallery boutique hotel collection, which marks the debut of AccorHotels’ boutique range into the US market. With AccorHotels’ backing, further expansion of the brand is now likely.
The Louisville, Kentucky brand opened its first property in 2006 and draws upon contemporary art museums and chef-driven dining as the inspiration behind its boutique accommodation offerings. Today, the 21c Museum Hotels name operates eight properties in the US Midwest in cities such as Cincinnati, Nashville, Kansas City and Oklahoma City among others. A further three properties are in development in Miami, Chicago and Des Moines, Iowa.
Often housed inside historic city edifices, the 21c Museum Hotels brand is dedicated to showcasing contemporary art from the 21st century. Museum exhibitions are open free of charge to the public all day, every day.
The existing corporate management structure for 21c Museum Hotels will remain in place following the acquisition, with its headquarters to remain in Louisville, Kentucky under the watch of CEO Craig Greenburg. Co-founders Laura Lee Brown and Steve Wilson will retain a 15% ownership stake.
AccorHotels’ transaction, which is expected to be completed before the end of Q3 2018, consists of management and distribution rights, with no real estate included in the deal.